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Full text of "10 2 13 Press Statement Regarding Mr May's IPRA Lawsuit"

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Press Statement for Immediate Release 



October 2, 2013 Contact: Steven Farber (505)988-9725 

SFarberLawOffice@aol.com 

Former NMFA CEO Files IPRA Lawsuit 
Martinez Administration Refuses to provide NMFA Audit Records 

Santa Fe — Today, Richard E. May, former CEO of the New Mexico Finance Authority 
(NMFA) filed a lawsuit in the First Judicial District Court in Santa Fe against Governor 
Susana Martinez and Department of Finance and Administration (DFA) Cabinet 
Secretary Tom Clifford for their failure to comply with the New Mexico Inspection of 
Public Records Act (IPRA). The lawsuit demands that public documents requested in an 
April 10, 2013 IPRA request be provided immediately. 

The requested public records and documents are related to the Governor's office and 
DFA's actions and communications before and after senior management of NMFA first 
discovered the fake Fiscal Year 2011 audit. "After waiting 174 days for any response 
from the Governor and DFA, we have received nothing but excuses," said Steven Farber 
legal counsel for Mr. May. 

"For the Administration that claims to be the most transparent in New Mexico history, 
the lack of transparency is outrageous. Not one email, text message, memo, document, 
or even a piece of paper has been made available for public inspection," added Mr. 
Farber. 

Filing this lawsuit is simply following the established legal process to gain access to these 
public documents that the Martinez Administration has refused to provide. "The 
unwillingness of the Martinez Administration to provide public records after legitimate 
IPRA requests raises the question of what is being intentionally hidden from the public," 
said Mr. Farber. 

"The facts surrounding the motivations behind how the NMFA fake audit was 
investigated have never been fully disclosed to my client or to the public," stated Mr. 
Farber. The release of these requested records and documents may answer the 
question as to why the Martinez Administration hijacked an independent investigation 
led by a former federal prosecutor, while placing State Auditor Hector Balderas (who 
had considerable conflicts of interest) and a biased gubernatorial appointee in charge. 
The gubernatorial appointee, Daniel Tanaka, for RLD Securities Division Director, has 
since resigned. 

"The so-called Special Audit conducted by the State Auditor was not independent. It 
appears to be a ploy to cover-up the failings of the State Auditor's office and it 



minimized the responsibility of a State Auditor approved external auditing firm and 
shifted the blame to others. The public has a right to know the role of the Governor's 
office and other Administration and governmental officials in stopping the independent 
investigation started by Mr. May and others at the Finance Authority," added Mr. 
Farber. 

The external auditing firm of Clifton Gunderson LLP abandoned their professional 
obligations and never completed NMFA's Fiscal Year 2011 audit," said Mr. Farber. 
Clifton Gunderson failed to notify NMFA senior management they had stopped working 
on the audit and never filed it with the State Auditor's office. "If Clifton Gunderson had 
fulfilled its U.S. auditing responsibilities and required standards and then filed the audit, 
the entire fake audit matter would have been avoided," concluded Mr. Farber.